Rebounds back toward 200 hour MA
The GBPJPY has been stepping down since a break above its 100 day MA on Friday failed (see top blue line in the chart below). That MA was retested on Tuesday this week and sellers leaned, the price moved lower.
Today, the pair took another bearish step lower with a move away from the 200 hour MA (green line currently at 142.948). Admittedly, it was not a smooth break and run. That may have helped contribute to buyers leaning against a lower trend line not just once but twice. That trend line is currently near the swing high from Jan 17. So there are now a couple of reasons to make that area important going forward.
The price is getting a boost as stocks moved higher. The S&P is testing 2700, up 18 points. The Nasdaq is up 94 points at 7277. For the GBPJPY (and JPY pairs) that is helping to push the price higher. Where is the target? That 200 hour MA at 1452.948 will now be eyed.
Support trend line and swing level is strong. The question now is does the 200 hour MA hold on a move higher. Buyers and sellers will both be interested in that level.